Failed insurance fraud scheme leads to indictment of two in Hunterdon County
We all know that insurance companies are often recipients of a bad public image. Many see them, fairly, or unfairly, as greedy and uncaring. Policyholders may see an increase in their premiums, despite having not only paid on time and in full the previous coverage year, but also not having made any claims on their own behalf. When they see a rise in premiums – or sometimes what they consider high costs to start a policy– despite them being deemed a “good risk,” it makes them wonder why. One of the reasons for these increases, and difficulties in the insurance market, may be a factor the individual had not considered: insurance fraud committed by other policyholders.
Just recently, a Hunterdon County grand jury indicted Sheli Dagostino, 43, of Allentown, Pennsylvania, and James Solakian, 42, of Belvidere, New Jersey, for conspiracy to commit insurance fraud, third degree; attempted insurance fraud, third degree; obstruction, fourth degree and hindering apprehension, in the fourth degree.
The alleged incident began Sunday, April 14, 2013. Sheli Dagostino reportedly called police to come to the Kohl’s Department Store in Raritan Township under an alleged guise that her car had been stolen from the store’s parking lot. Later that day, police responded to another report where it was discovered Dagostino’s car had been found partially submerged in a river. Police later came to believe that Dagostino and Solokian had conspired with other unidentified persons to steal the car and report it to collect insurance money. As the story began to unravel, it is claimed the pair lied to police to about their involvement, leading to the hindering apprehension charge handed down by the grand jury.
While it may be tempting to dismiss this as foolish, but harmless, criminality, their actions, if proven, can make victims out of innocent people. Insurance companies, knowing that fraud occurs, but is not easily discovered, are forced to factor the risk of fraud into the premiums they charge their honest policyholders. Moreover, most insurance companies are forced to maintain a Special Investigations Unit (S.I.U.) in order to investigate, uncover, prosecute, and take civil action against insurance fraud within the spectrum of their policy holders. This increases costs as well, and may also cause undue suspicion, toward innocent claimants.